Central Bank of India fixes issue price at Rs 102

RELATED NEWS KPR Mill IPO opens for subscription Subscribe to Take Solns, reasonably priced: Anand Rathi Puravankara to set up chain of hotels in South India Everonn Systems ends with 240% premium After Europe, KPR Mill eyes US market Nifty BSE | NSE 25/05/12 Are Mutual Funds betting on Nifty?

Central Bank of India on Wednesday fixed Rs 102 as the issue price for its initial public offer, which would take its total resource mobilisation from the market to Rs 816 crore.

"The price per share has been fixed at Rs 102," Vasan Paulraj, who heads the banking and finance practice at Enam, the lead manager to the issue, told PTI here today.

Central Bank, in which government's shareholding would come down to 80.20 per cent post-issue from 100 per cent earlier, had fixed a price band of Rs 85 and Rs 102.

The issue was subscribed around 62 times, Paulraj said. The issue proceeds will be utilised for technology upgradation, HRD and to augment the capital base of the bank to meet future capital requirements arising out of the implementation of new risk provisioning norms (Basel II).

Besides, the funds would also be used for future growth of the bank, its Chairperson and Managing Director, H A Daruwalla, had said earlier, reports The Economic Times.